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Why the two drivers patient services fthe support departments are at tenviu berweon prablems o.3 throngh o.6 &Beanier's Hosnital has three support d parnmenes The direct costs to each of thes d Which of'the rwo drivers is better? departments and four $2,000,000 5,000,000 3,000,000 Selkznd daa for the three support and four paticn hown below Financial Services are Space Patient square Housekeeping Sal ServicesLabor Hours Do Revenue -Dollars 2,000 1,500,000 Administration Facilitics 20,000 15,000 5,000 3,000 3,000,000 2,000,000 10,000 500,000 Financial Services Total Patien Service Routine Care Intensive Care4,000,000 40,000 30,000 Diagnostic Services 6,000,000 60,000 15,000 Other Services10,000,000 100,000 Total 530,00,000 400,000 150,000 $12,000,000 5,000,000 6,000,000 7,000,000 6. 25,000 50,000,000 600,000 220,000 $30,000,000 Grand Total $50,000,000 645,000 230,000 $36,500,000 6.3 Assume that the hospital uses the direct method for cost allocation. Furthermore, the cost driver for general administration and financial ervices is patient services revenue, while the cost driver for facilities is space utilization. a. What are the appropriate allocation rates? b. Use an allocation table similar to Exhibit 6.7 to allocate hospital's overhead costs to the patient ser services departments